Foreclosure problem fallout:
According to the University of Chicago Booth School of Business, one-third of all Mortgage defaults are strategic.
Borrowers who are determined to have the ability to make their monthly mortgage payments, but walk away from their homes will not be able to secure a Fannie Mae backed mortgage for seven years after the foreclosure, according to a new policy announced by the mortgage giant this week.
Fannie Mae will also take legal action against borrowers who strategically default on their mortgage in order to recoup mortgage debt. These would be limited to locations that allow deficiency judgments.
